Description:

Buffett Center for International and Comparative StudiesCenter for Global EngagementGlobal Development Series

Rich Farm Subsidies and the PoorDaniel Sumner, University of California-Davis

Daniel Sumner, director of the Agricultural Issues Center at the University of California-Davis, provides a careful exploration of the implications of U.S. trade policies and farm subsidies and their various impacts on developing countries. For decades, farm resource owners in rich countries have received substantial government-mandated income transfers from taxpayers and buyers. The effects of these programs depend on who and what is being subdisized and the market conditions under which they operate. Farmers and consumers in poor countries are among those affected by rich country farm subsidies; the broad economic consequences are seemingly straightforward, the consumers gain and the farm producers who compete with subsidized products lose. Sumner will explore the pattern of impacts these subsidies have across different times, places and commodity markets, promoting a detailed understanding of policies and markets in both rich and poor countries.